How does adoption leave and pay work?

Getting to grips with maternity leave laws is important for small business owners, you need to be sure that you’re offering your employees the right policies, leave and pay.

But did you know about adoption leave? If a member of your team adopts a child, they’ll be entitled to adoption leave and pay. In this article, we’ll take a look at adoption leave and everything you need to know.

What is adoption leave?

Adoption leave is time off that employees are entitled to if they match with a child for adoption or if they have a child through surrogacy.

It works in the same way as maternity, paternity and parental leave in that employees have a legal entitlement to it and there are statutory terms and conditions. As an employer, it’s up to you if you offer standard adoption leave or an enhanced package.

Adoption leave entitlements

Employees who have a child placed with them for adoption are entitled to adoption leave, as are those who use surrogacy and who foster a child with the plan to adopt.

Within a couple, one parent can take adoption leave, which is similar to maternity leave, and one can take paternity leave.

Statutory adoption leave lasts for up to 52 weeks, the same as maternity leave, and employees must have already been matched with a child to apply for adoption leave.

It’s also important to note that employees are only entitled to adoption leave if they are adopting via an agency. If the adoption is private, e.g. they are adopting a family member, then they do not have an automatic right to adoption leave.

Employees have the right to adoption leave from day one of their employment.

Adoption pay: what you need to know

Statutory adoption pay is paid to employees for 39 weeks, the same as maternity pay. This is broken down as follows:

• 90% of your average weekly earnings for the first 6 weeks.
• £184.03 per week or 90% of your average weekly earnings (whichever is lower) for the following 33 weeks.

Some employees decide to offer a more enhanced package for parental leave, meaning they may cover 90% of earnings for longer than the first 6 weeks. This can be a huge perk for staff, especially during the recruitment process, so it is worth considering.

Remember, adoption leave is broken down into ordinary adoption leave (26 weeks) and additional adoption leave (an extra 26 weeks). Employees are entitled to pay for at least 39 weeks of those. Some employees will choose to return after 26 weeks, some after 39 and some will wish to take the full 52 weeks.

How to apply for adoption leave

An employee will need to apply for adoption leave. Employees must inform their employer within seven days of being matched with a child.

An employee needs to tell their employer:

• When the child will be placed with them.
• When the adoption leave will start.
• When the adoption leave will end.

Employees also need to provide 28 days notice that they want to receive adoption pay. Ideally, an employee will give notice of both their intent to begin adoption leave and their request for adoption pay, in writing, at the same time.

As an employer, you do have the right to delay paying adoption pay if not enough notice is given, however, it’s worth remembering that adoption is an overwhelming and unpredictable process, therefore offering your staff leniency and flexibility will go a long way to building a strong relationship.

Developing adoption leave policies: best practices

As an employer, you will need to create an adoption leave policy in the same way you create a maternity and paternity leave policy. Every parent has the same right to leave no matter how they welcome their child.

Some best practices to consider when formulating your adoption leave policy are:

Involve HR

Adoption leave is a legal requirement, therefore it’s a good idea to include your HR team in the creation of an adoption leave policy to ensure you are being fully compliant. Don’t try to cut corners, you need to ensure you’re offering employees the legal minimum for leave and pay.

Communication

Communication is key when it comes to creating adoption leave policies. Firstly, be sure to communicate policy rules clearly to employees within their contracts. They should be made aware of their rights and what they can expect.

Secondly, be sure to keep communication open with employees whilst they are off on leave. This is a great way to discover what works and what doesn’t about your adoption leave policy so that it can be improved in the future. Offer your employees a return-to-work meeting when they come back to the workplace to get their feedback.

Review policies

Be sure to monitor and review your adoption leave policies regularly. Laws and regulations change so you need to keep on top of any new national guidelines to ensure you remain compliant.

Plan ahead

Think about how the employee’s absence is going to affect your business. Will you need to hire a new temporary team member to cover the adoption leave? Will you expect other team members to pick up additional responsibilities?

No matter what you decide, be clear from the beginning on your expectations. You’ll also need to think about your employee’s return to work and what that will look like. Some parents request flexible or part-time hours upon their return, you’ll need to decide if this is something you can approve and what impact it will have on your business.

Employee rights during and after adoption leave

All of an employee’s contractual rights remain the same during adoption leave, apart from their right to their usual salary.

The leave period counts towards an employee’s continued service, it is not seen as an official break from the company, and employees continue to build up their annual leave entitlement too.

Employees also have the right to return to the exact same job, with the exact same terms and conditions, following adoption leave; however, employers are also expected to offer a reasonable alternative if the original role is no longer suitable.

If redundancies are made during a period of adoption leave, parents on adoption leave should be treated no differently than staff who are working full-time.

Employees on adoption leave can also undertake up to ten KIT (Keep In Touch) days. This is where they undertake a day’s work for your company, either in the workplace or remotely, giving them the chance to receive company and project updates and make the return to work smoother.

KIT days are not a legal requirement and therefore must be decided ahead of the adoption leave period between the employer and employee.

Adoption leave: final thoughts

Adoption leave should be treated in exactly the same way as maternity and paternity leave. It’s a legal requirement and as an employer, you must have a policy in place.

Having an adoption leave policy in place means that should an employee need to use it, everything is set up and ready to go. The last thing you want as a small business owner is to be faced with an employee requesting adoption leave and you have no policy or plan in place.

Planning ahead and communicating with your team will ensure adoption leave runs smoothly with as much support for your employee and as little impact on your business as possible.

Lucy Nixon - content writer

With 10 years experience in the digital marketing industry, Lucy is a content writer specialising in ecommerce, website building and all things small business. Her passion is breaking down tricky topics into digestible and engaging content for readers. She's also committed to uncovering the best platforms, tools, and strategies, researching meticulously to providing hand-on tips and advice.